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It is a tendency to interpret new information so that it becomes compatible with our existing theories.
Warren Buffet has seen people losing money with this because they ignore facts that contradict the theory in the mind of the investor.
Disconfirming evidence must be sought out to beat this theory.
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When it comes to compounding, don't trust your intuition - you have no idea how powerful it is.
Send an email to 10,000 people with the stock market predictions by dividing them into 2 groups - telling reverse prediction to each group. Prediction for one of the groups will come true.
Send a new prediction to the 5,000 whom you predicted correctly earlier - again after dividing them in...
Whenever you are dealing with averages, be careful of the distribution behind them.
A Bill Gates monthly income in a group of 50 ordinary citizens can give an extremely misleading average.
Never underestimate the hard work and lower probability of success, just because we are shown more successful people than many more actual failures.
It does not mean, in any way, that you should not dream big. It just says that don't get overawed by the number of success stories you read an...
The fear of losing something motivates people more than the prospect of gaining something of equal value.
If you ever find yourself in a tight unanimous group, you must speak your mind, even if your team does not like it, and even if it means risking expulsion from the warm nest.
And if you lead a group, appoint someone as devil's advocate.
He or she will not be the most popular member of...
There is no 3rd category of passive onlookers.
99% Fat-Free product seems more healthy than a product with 1% Fat.
10 Powerful Lessons of the book “The Art of Thinking Clearly”
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Our limiting beliefs sit in our subconscious mind and thus stunt us from seeing—or believing in—possibility. And because of our mind’s confirmation bias (the tendency to interpret new evidence as confirmation of one's existing beliefs or theories), we are prone to believe what we...
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